This isn't how Barnes & Noble wanted to write its final chapters. The liquidation of rival Borders this summer should have been an opportunity to grab market share, and it's Nook e-reader should have kept it relevant. Instead, a price war is exposing the retailer's financial shortcomings.

The country's second-largest book retailer had been counting on a Christmas miracle to rescue it from deep financial doldrums. But the holiday season played Scrooge instead. Now, confronting a liquidity shortfall, a bankruptcy seems more likely than ever.

When Barnes & Noble announced it was looking for a buyer, we entertained the fanciful notion that its smaller rival, struggling book retailer Borders, might put in a bid. As absurd as the idea was, that buyout offer has been made. Here's why it has virtually no chance of succeeding.

Bookseller Barnes & Noble Inc. may enact limitations on the size of single shareholder stakes, as the family of founder and chairman Leonard Riggio and activist shareholder Ron Burkle battle for control of the company.

Surely, the sale of Borders' Ann Arbor, Mich., headquarters for almost $18.4 million adds to the persistent rumors of the company's imminent demise. But the truth is more complicated and has more to do with real estate than books.

Borders, the nation's second-largest book retailer, is trying a new tactic to gain a much-needed sales boost heading into the end of year shopping season: It's opening 25 "pop-up" shops meant to last only for the holidays, the company announced Tuesday.

Bennett LeBow, financier and chief of tobacco company Vector Group, will become Borders' chairman and biggest shareholder with his $25 million investment in the struggling bookseller. The deal needs shareholder approval, and it's likely to get the nod.

This is a wild time to be in the book biz -- change is coming fast, and everyone is struggling to adapt. But in its quest to evolve and survive, the country's third-largest bookstore chain is trying something completely offbeat: It's buying a stake in a tiny self-serve frozen yogurt chain.

CEO Steve Riggio is stepping down, though he'll remain vice chairman and stay "actively involved." Taking over as CEO is William Lynch, who has been leading B&N's e-commerce efforts. And Mitchell Kipper will become CEO of B&N's retail group.

After announced that it would close 200 of its 330 Waldenbooks stores by early January, Borders is changing its tune ever so slightly, and now plans to spare about 20 stores originally slated for the chopping block.